Thursday, October 1, 2026
The Thurston Regional Housing Council (RHC) formally expressed support for a proposed change to the unit mix of a planned Franz Anderson Permanent Supportive Housing project in Olympia.
The RHC unanimously approved issuing a letter to the Washington State Department of Commerce and Washington State Housing Financing Commission backing a request from the Low Income Housing Institute (LIHI) to modify the project’s unit mix. The housing council made the decision at a meeting on March 25.
LIHI proposes allowing 50 percent of the units to serve households earning up to 50 percent of the area median income (AMI).
The development, which is planned for 527 Franz Anderson Road SE in Olympia, calls for 71 studio and one-bedroom units. The original plan was that all units were intended for extremely low-income and unhoused individuals earning at or below 30 percent of AMI.
Under the revised proposal, that number would be reduced to 35 from 70 units. One unit is set aside for an on-site property manager.
“RHC believes the project will still play an essential role in the region’s homeless response system and will offer housing and voluntary support services to many of Thurston County’s most vulnerable and lowest income individuals,” the letter states.
The council said the project remains consistent with local comprehensive plans related to housing supply and affordability. It also aligns with the council’s broader mission to increase housing stability and reduce homelessness through regional collaboration and policy guidance.
The letter was sent on behalf of multiple local funders, including Thurston County and the cities of Lacey, Tumwater and Olympia, indicating broad regional support for the revised plan.
The housing council is urging state agencies to approve the proposed changes so that the project can continue to move forward. Construction is anticipated to be completed in late 2027 or early 2028.
The push to issue the letter was driven by the Washington State Finance Commission, which has provided about 53 percent of the project’s funding through low-income housing tax credits awarded in 2024.
The commission has asked LIHI to confirm the project will move forward and meet funding requirements, including breaking ground by the end of the year.
“At this point, the finance commission is looking at older funding awards and making sure projects are moving forward,” said City of Olympia Affordable Housing Manager Jacinda Steltjes. “If not, they may shift the funding to other projects.”
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JW
LIHI's involvement ensures that this will be a crime and drug-ridden facility with no accountability.
Wednesday, April 1 Report this
cappers
Sadly, we pretty much agree with JW.
Wednesday, April 1 Report this
wolfmanner
What a ugly looking place, No matter. It will be destroyed by the tenants in a couple of years.
Wednesday, April 1 Report this
ClimateTeam
Have worked with LIHI and they and their tenants have been wonderful. It's sad that others are so negative.
Wednesday, April 1 Report this
SamLucy
It will cost the city (us....) MILLION$ after it's built as the tenants destroy every single room over time!!!! > FREE stuff to people teaches them nothing, but Liberals throw our money away to fund "kind" causes all the time----- Why not... it's not their money!!!
Wednesday, April 1 Report this
Paul49Knox
Wow - we sure have a group of negative community members weighing in with their thoughts!
What are commenters doing to create more affordable housing and a better community?
If nothing, I suggest lending a hand or shutting up!
Wednesday, April 1 Report this
JnNwmn
Capitalism has allowed Elon Musk to be worth $805 billion dollars. He has as much money as 53% of the population. It is an extreme example but it is "THE" reason WA needs a millionaire tax, and the reason why we should be funding housing for people.
Wednesday, April 1 Report this
BobJacobs
The hideous color scheme of this rendering is all too common for assisted living facilities. It would cost no more to give the building a more attractive exterior that would not "brand" residents.
Bob Jacobs
Thursday, April 2 Report this
Snevets
Thank you for sharing and bravo for the building of more affordable housing because this current administration doesn't care about anyone but their fellow billionaires.
Thursday, April 2 Report this
Southsoundguy
Snevets, why don't you get in the development game and build affordable housing?
Thursday, April 2 Report this
ViaLocal
And who has a better idea of how to provide housing for people below the poverty line? Not every person can just go out and get a job, especially not seniors living on a fixed income.
Thursday, April 2 Report this
Callie
OK, here's something you can all support: Thurston Housing Land Trust. https://www.thurstonhousinglandtrust.org/
Want to do something concrete and helpful? Become a member for $25. This non-profit helps mortgage-worthy* low income people become home owners. The idea is to create some permanently affordable starter homes.
*Mortgage worthy = decent credit, regular job. This allows teachers, fire fighters, nurses aides, early career people to live near where they work. And to gain equity - which is, of course, worth more in a well-cared for property.
What's not to like?
Friday, April 3 Report this
Southsoundguy
Vialocal, it was a trick question, its impossible without government subsidies. The market is so messed up that it costs too much to build, and people currently holding properties are all convinced that 500k is normal price for a 3/2 box on a tiny city parcel.
Friday, April 3 Report this
TheLadyClover
I love that they just decide to change this.Even though people in these Crane homes right across the street from where this project is meant to be occurring, has been promised and apartments.When they're done being built, 35 units isn't accommodate that.What these people don't deserve to have the things the city promised them
Friday, April 3 Report this
HotTractor
SSguy, one of the reasons the market is so messed up is the venture capitalist buying up housing then using monopoly tools to fix the the prices at high levels. Health care and housing should not be maximum profit driven.
Saturday, April 4 Report this